NEW YORK — Reddit soared in its Wall Street debut as investors pushed the value of the company close to $9 billion seconds after it began trading on the New York Stock Exchange.
Still, she also anticipated Reddit's IPO to be volatile. Even with a sizeable “pop" right out of the gate, it's possible that some might sell their shares to reap gains soon after — potentially causing prices to drift. Per the usual IPO custom, the remaining shares are expected to be bought primarily by mutual funds and other institutional investors betting Reddit is ready for prime time in finance.
Reddit has never profited from its broad reach while piling up cumulative losses of $717 million. That number has swollen from cumulative losses of $467 million in December 2021 when the company first filed papers to go public before aborting that attempt. Those efforts, mostly centered around selling ads, have helped the social platform increase its annual revenue from $229 million in 2020 to $804 million last year. But the San Francisco-based company also posted combined losses of $436 million from 2020 through 2023.
Since Thursday just marks Reddit's first day on the public market, Aggarwal stresses that the first key measure of success will boil down to the company's next earnings call.
Coin Coin Latest News, Coin Coin Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Source: SooToday - 🏆 8. / 85 Read more »
Source: SooToday - 🏆 8. / 85 Read more »